ATLANTA — The state of Georgia is allocating $100 million to support loans for farmers and to assist in cleanup efforts following the devastation caused by Hurricane Helene.
On Friday, the Georgia State Financing and Investment Commission unanimously approved the expenditure, which will utilize funds that had been reserved for construction projects or the repayment of existing debts.
Officials reported last month that the storm, which made landfall in Florida on September 26 and wreaked havoc across the eastern region of Georgia, resulted in an estimated $6.46 billion in economic losses within the agriculture and forestry sectors.
Farmers cultivating cotton, pecans, and chickens, as well as private timberland owners, suffered significant setbacks, leading Lt. Gov. Burt Jones and others to label the situation a “generational loss.”
The Georgia Development Authority, tasked with providing financial assistance to farmers, will receive $75 million for disaster relief loans targeted at farmers and businesses within the agricultural community.
The remaining $25 million is earmarked for the cleanup of timber losses and debris, as explained by Garrison Douglas, a spokesperson for Governor Brian Kemp.
Due to a recent surplus, Georgia has been employing cash for funding construction projects rather than resorting to traditional bond sales. The $100 million was previously held for future expenses but had not been assigned to any ongoing projects, according to Douglas.
With a surplus amounting to $2 billion at the end of last year, lawmakers might find it feasible to replenish this $100 million during the 2025 legislative session, which is set to commence in January.
In contrast, no similar financial assistance was provided after Hurricane Michael in 2018, with Helene’s agricultural damages being assessed at over double the costs incurred from Michael. A protracted federal dispute regarding relief delayed aid for those affected by Michael, and Georgia itself invested more than $470 million on loans and recovery efforts following that storm.
“This is a strategy we recognized we could implement,” stated Douglas regarding the $100 million allocation.
Governor Kemp and other state officials have indicated they will explore further relief options during the upcoming General Assembly in January and possibly through administrative solutions before then.
“We will maintain our collaboration with stakeholders at all levels to funnel resources and support to the hardworking Georgians impacted by this calamity,” Kemp articulated in a statement on Friday.
Both Kemp and House Speaker Jon Burns, along with fellow leaders, are urging Congress to swiftly act on a relief package for those affected by Hurricanes Helene and Milton. They are advocating for block grants that states could utilize to aid farmers in recovery efforts, as well as to restore damaged infrastructure and support private businesses and individuals.
“This initiative will deliver essential financial relief to farmers and foresters while we continue to work with our federal partners to guarantee every possible asset and resource available for Georgians affected by this catastrophe,” Burns noted in a statement.
As of Thursday, FEMA reported it had already distributed $1.3 billion in direct assistance to individuals affected by Helene and Hurricane Milton, alongside spending over $1.1 billion on debris removal and emergency protective measures.
However, Georgia’s constitution prevents the state from providing direct aid to individuals and private businesses due to restrictions against what it categorizes as gratuities—effectively gifts. Will Bentley, the president of the Georgia Agribusiness Council, informed a state Senate committee on Monday that a constitutional amendment would be necessary to permit direct disaster assistance.
In addition to Kemp, Burns, and Jones, other commission members who supported the funding included state Auditor Greg Griffin, Attorney General Chris Carr, Agriculture Commissioner Tyler Harper, and state Treasurer Steve McCoy.
The Georgia Development Authority is slated to convene in Macon on Monday to commence the distribution of the $100 million.